China's Wuling Motors launched commercial production at its newly built vehicle assembly plant in Indonesia this week, two years after construction began.
The US$700m facility, managed by local subsidiary SAIC GM Wuling Motor Indonesia, is located in Cikarang – 70km/40 miles east of the capital city Jakarta. It will have an annual production capacity of 120,000 units at full swing with a 3,000-strong workforce.
Half of the 60-acre complex is used for vehicle production and half is designated to accommodate component suppliers.
Currently the facility has 20 domestic suppliers and 15 international suppliers, according to the company. Eventually, Wuling aims to raise local content to at least 56%.
The company is looking to tap into Indonesia's largest vehicle segment by producing the seven-seater Confero compact MPV, fitted with a 1.5 litre petrol engine and manual gearbox.
The model will be officially launched at next month's Jakarta motor show but the company has displayed the model at events in Jakarta this month where it has already begun to take orders.
Prices range between IDR130m (US$9,750) and IDR165m for the full-specification model, fitted with ABS, leather seats, sensors and rear view cameras.
It will compete head on with the Honda Mobilio and BR-V, Nissan Grand Livina, Toyota Avanza and Daihatsu Xenia.